Bereke bank will stop issuing cash from Mir cards of some banks

The Kazakh Bereke bank, previously owned by Sberbank, will stop issuing cash from Mir cards of Russian banks subject to US sanctions from March 6 , the bank's support service told vc.ru.

The restrictions affected banks under US blocking sanctions. However, if the company is also under the restrictions of the European Union, the UK and other countries, problems may also arise, the support service added.

Previously, Bereke bank ATMs accepted Mir cards and issued tenge when withdrawing from ruble accounts.

Starting March 6, 2023, Bereke bank will stop accepting incoming and outgoing payments and transfers in any currency from/to Sberbank, its subsidiaries and branches. From the same date, transfers by phone number to Russia will not be available, this can only be done using account details.

Sber sold its Kazakhstani subsidiary to the Baiterek holding in early September last year. After that, the bank changed its name to Bereke Bank. The new owner of the credit institution also submitted a package of documents to the US Office of Foreign Assets Control (OFAC) to lift sanctions from the bank. According to The Wall Street Journal and Reuters, the US authorities have agreed to lift restrictions, they will cease to operate from March 6.

In September last year, Kazakhstani banks stopped accepting Mir cards after the US Treasury issued a clarification warning that organizations working with the card operator "at risk of supporting Russia's efforts to circumvent US sanctions." In December, OFAC allowed Kazakh banks to make transactions with Mir cards for individuals. At the same time, transactions through the Mir system will remain under the special control of the US Treasury, the Agency for Regulation and Development of the Financial Market of Kazakhstan noted.